An International Business Undertakes Activities - 2391 Words

In this part of Unit 39, I will be explaining the different economies in which an international business undertakes activities. The business I will be focusing on throughout my essay is Barr’s. I will also be scrutinising the economies of two countries – Germany and the UK. The economic aspects I will look at into further detail are: GDP, GDP per capita, exchange rates, trade blocs they are currently a member of, unemployment rates, life expectancy and balance of trade. An international business is when a business makes transactions with other businesses in different countries. These transactions can consist of investments, sales and transportation. An example of an international business is Barr’s as they operate in many countries around†¦show more content†¦Their goods comprises of a lot of varieties such as machinery, vehicles, technology, food, materials etc. Over the years, their GDP has rapidly increased as they started $215 billion in 1970, making their way to $946 billion in 1980, then going into the trillion figures with $1.77 trillion in 1990. This then increased to $1.95 trillion in 2000, and they ultimately had a rate of $3.41 trillion in 2010. In contrast, the UK had a lower GDP than Germany in 2014 which is evident through the fact that the graph illustrates the country having a rate of $2.94 trillion. While this is still a great figure, their goods have lower value than that of Germany. The UK has always been below Ger many in terms of GDP since they started out with $130.67 billion in 1970, which then went up to $564.95 billion in 1980. In the year 1990, they had a GDP of $1.09 trillion and this increased to $1.55 trillion in 2000, which then went up to $2.41 trillion over the next decade. To summarise, Germany currently has a higher GDP than the UK and this emphasises that there are more commercial practices within the country. The business that operates in Germany has more trading partners than their operating business in the UK. This could result in potential growth opportunities for the business. It also emphasises that they have better quality goods than the UK. Expensive resources and raw materialsShow MoreRelatedEssay on Model questions for Global Marketing1523 Words   |  7 Pagesdiscuss the principal causal factors that encourage firms to undertake the international marketing of their products and services. Cultural and political forces influence international marketing activity. Discuss the impact of these forces and illustrate your answers with examples. â€Å"The global competitor will seek to standardise his offering everywhere† (Levitt). Critically evaluate this view with specific reference to a firm’s international product/service strategy and communications strategy. IllustrateRead MoreThe Is The World Still Not Homogenous? How Does This Influence The Decisions Made By Multinational Companies?1587 Words   |  7 Pagesbusinesses in the diverse cultural environment. Most of the MNCs emanate from the developed countries and most of their investments target the diverse cultural societies in the developing nations, whose societies continue to change. These MNCs must undertake a number of strategic decisions in order to ensure their success in the multicultural societies. The managers in the global companies make a broad range of decisions in the plant and firm levels, encompassing traditional functions such as marketingRead MoreExplain how Leakages and Injections Influence the Level of Economic Activity and Explain how the Government Influences Economic Activity1165 Words   |  5 Pageseconomic activity, as they basically are economic activity. Without leakages and injections there would be no circular flow, without which the economy would run as it does now. The government also plays a major role in the running of the economy as it has a great influence over what goes in and out of the circular flow by the way of taxation, imports and exports. The five-sector circular flow of income model is a theoretical way for economists to describe certain features of economic activity and theRead MoreDiversification and Mode of Entry into Foreign Markets: Asian Airlines Case Study1294 Words   |  5 Pagesthe industry. In order for the company to become competitive, it has established strategies that will enable it to penetrate world markets thus allowing it to undertake diversification strategies. The study will examine the diversification strategies the company has instituted to enable them penetrate global markets and diversify its business thus making it competitive (Mun, 2010). In order to control the industry, the Asian Airlines will need to establish strategies that will it launch its presenceRead MoreThe Role of the International HR Manager Essay1347 Words   |  6 PagesThe Role of the International HR Manager For many people international HR management (IHRM) is synonymous with expatriate management. IHRM, however, covers a far broader spectrum than just the management of expatriates. It involves the worldwide management of people. Although International HR (IHR) managers undertake the same activities as their domestically-based colleagues, the scope and complexity of these tasks will depend on the extent of internationalisation of the organisation. In thisRead MoreExplain the types of organizational change and the process of organizational change. Which are the most efficient methods of managing changes?1726 Words   |  7 Pagesï ¿ ½Business Management BUSINESS MANAGEMENT ï ¿ ½ EXPLAIN THE TYPES OF ORGANIZATIONAL CHANGE AND THE PROCESS OF ORGANIZATIONAL CHANGE. WHICH ARE THE MOST EFFICIENT METHODS OF MANAGING CHANGES? Organisational change is an irreversible adoption of any feature of its strucutre, personel, products or processes (J.Naylor) Todays business environment is forcing entities for changes. If we would think from corporate point of view it is essential for the companies success to be in accordance with newRead MoreWhat Is International Strategic Management? Critically Examine the Course of Strategic Decision Making, Identifying the Types, Processes and Implication for Managers1100 Words   |  5 Pages1.0 Definition: International Strategic Management is a planning process of developing international strategy in the direction of achieving strategic-fit between the organisations competence resources and the global environment under which it tends to operate. It is an ongoing process that adhere an organization to compete in an international scenario. International Strategic Management (ISM) is an ongoing management planning process aimed at developing strategies to allow an organization toRead MoreWhat Is International Strategic Management? Critically Examine the Course of Strategic Decision Making, Identifying the Types, Processes and Implication for Managers1090 Words   |  5 Pages1.0 Definition: International Strategic Management is a planning process of developing international strategy in the direction of achieving strategic-fit between the organisations competence resources and the global environment under which it tends to operate. It is an ongoing process that adhere an organization to compete in an international scenario. International Strategic Management (ISM) is an ongoing management planning process aimed at developing strategies to allow an organization to expandRead MoreA Weekly Training Session 1 Embargo Sanctions1525 Words   |  7 Pagessanctions regimes our international bank must consider when carrying out its global business including the implications of extra territoriality. We will also examine the consequences of failing to comply with sanctions. What are the sanctions regimes our international bank must consider? Firstly, we all need to be clear on what sanctions regimes are and how they are set out. Financial and Trade Sanctions are part of a package of measures applied by individual countries, International Organisations orRead MoreCorporate Social Responsibility : The Business Out Of The Water1315 Words   |  6 Pagescorporate social responsibility is a peripheral issue for their business and customer satisfaction more important for them. They imagine that customer satisfaction is now only about price and service, but they fail to point out on important changes that are taking place worldwide that could blow the business out of the water. The change is named as social responsibility which is an opportunity for the business. Some of the drivers pushing business towards CSR include: The Shrinking Role of Government In